State Overtime Rules & Premium Pay Laws

There are some particular set of laws that require the employers to pay their nonexempt employees for the overtime hours they work in excess of 40 hours in a complete work week. This overtime rate is one and half times the employee's regular rate, except in a very few limited situations where this rate may vary. These exceptions include the overtime situation that is set of some of the occupations. Every state has its own laws for the overtime week hours, if, in case your state law is more demanding that of the federal law, you must follow the state law in such a situation.

The employers are needed to ay the covered employees one and half time their regular rate for any of the hours worked in the week in the excess of 40 hours in a workweek as per the Federal wage and hours laws.

It is quite easy and simple to abide by this requirement. However, if you are an employer and are required to give your employees the overtime for the hours worked, you must understand what does a workweek mean.

You would have been thinking from a very considerable time that the worksheet always begins on Monday morning and ends on Friday night. However, this may not be always the case for purposes of the overtime pay requirements.

If we look upon the law, it states that a workweek is any seven, consecutive 24-hour period which may begin at any time of the day. And therefore, your employees' workweek may start at noon on a particular day and end at 11:59 a.m on the following day. And that is because a workweek can be any fixed and recurring period of 168 hours which are seven days at 24 hours each.

Who is Subject to the Overtime Pay Rules?

The rules of overtime laws apply to all of the nonexempt employees. Sometimes, the employers make a very common mistake by presuming that the overtimes rules only apply to unsalaried people and not to salaried employees. In reality, it is the opposite.
The overtime rules for the pay apply to all salaried employees unless they have some kind of exemption.

There is also some other occupation that doesn't require you to receive the overtime pay under the federal Fair Labor Standards Act (FLSA) that include:

  • Employees who own motor are subjected to regulation by the Secretary of Transportation
  • Employers who travel by railroads, express companies, and water carriers are subjected to part I of the Interstate Commerce Act
  • employees of air carriers are subjected to Title II of the Railway Labor Act
  • Employers who are buyers of outside poultry and dairy products.
  • Seamen.
  • They who are new editors, announcers and chief engineers at the radio or television stations in the small communities or businesses.
  • Salesmen, partsmen, or mechanics who are employed by automobile, truck, or farm implement dealers, and salesmen employed by trailer, boat, or aircraft dealers
  • Drivers and drivers' helpers who make local deliveries and are paid on a trip-rate or similar basis pursuant to a plan which was approved by the government
  • agricultural employees
  • All the agricultural employees who do livestock auction and the statuary minimum wage received for the time spent in during the auction.
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  • Employees of nonprofit agricultural irrigation systems
  • Workers who are employed by the elevators located within the area of production and which have no more than five employees.
  • Employees who work at the maple sapping of syrup or sugar, other than the refined sugar.
  • Employees that do the local transportation of fruits or vegetables. Also, the workers who are employed or to be employed for the process of harvesting fruits and vegetables.
  • Drivers of the taxicabs.
  • Personnel of law enforcement and fire fighting who work for the agencies that have fewer than, five such persons.
  • All the household domestic service employees who live in the household.
  • Employees of nonprofit educational institutions who serve as resident houseparents to children who are orphans or one of whose natural parents are deceased, if the houseparents together earn at least a minimum amount annually
  • Motion theater picture employees.
  • Workers working in forestry or logging operations by an employer who has no more than eight employees for his work.

There are also some class of employee who is considered as exempt if the required criteria are met.

The partial exemption from the overtime pay rules exist for the following employees:

  • Those employees who are commissioned employees of retail or service establishments.
  • All those employees who are doing a job of home nursing or hospital employees: the em0plyoees can be paid overtime at one and one-half times their regular rates on the basis of a 14-day period, rather than the usual seven-day workweek.
  • Those employees who are doing a wholesale of petroleum distribution.
  • Employers who are working under a union contract.
  • Firefighters and law enforcement personnel as well as prison security personnel.
  • Leaf tobacco processing and handling employees.
  • Employees who gin cotton for the market in the countries where cotton is grown in commercial quantities.
  • Employees who sugar beets, sugar beet molasses or sugar cane into sugar or syrup.
  • Sugar service and cotton employees.
  • Private entities that are operating concessions in national parks or national forests.
  • All the employees who are receiving remedial education.

If any of the above full or partial exemptions do not meet by the nonexempt employees, then you must pay them overtime pay for any hours in excess of 40 hours that they have worked in a workweek.